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Modern Dental Group Limited (HK:3600)
:3600

Modern Dental Group Limited (3600) AI Stock Analysis

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HK

Modern Dental Group Limited

(Frankfurt:3600)

Rating:74Outperform
Price Target:
HK$4.50
▲(5.63%Upside)
Modern Dental Group demonstrates a strong financial foundation and appealing valuation, offset by technical indicators that suggest a neutral market sentiment. The absence of recent cash flow data is a notable risk that needs addressing to ensure continued financial health.

Modern Dental Group Limited (3600) vs. iShares MSCI Hong Kong ETF (EWH)

Modern Dental Group Limited Business Overview & Revenue Model

Company DescriptionModern Dental Group Limited (3600) is a leading global dental prosthetic device provider headquartered in Hong Kong. The company operates in the healthcare and dental sectors, focusing on the design, manufacture, and distribution of high-quality dental prostheses, including crowns, bridges, dentures, and implants. Modern Dental Group serves a diverse clientele, including dental practices and laboratories across various international markets.
How the Company Makes MoneyModern Dental Group Limited generates revenue primarily through the sale of dental prosthetic products to dental laboratories and practitioners. The company operates an extensive distribution network across multiple countries, leveraging its strong market presence and industry expertise to cater to the growing demand for dental solutions. Key revenue streams include the design and production of customized dental prosthetics, as well as the provision of related services such as technical support and training for dental professionals. Strategic partnerships with dental clinics and continuous innovation in product offerings further enhance its market penetration and contribute to its earnings.

Modern Dental Group Limited Financial Statement Overview

Summary
Modern Dental Group Limited has demonstrated strong financial performance with robust revenue growth and profitability. The income statement shows a consistent increase in revenue, a solid gross profit margin, and strong EBIT and EBITDA margins. The balance sheet is stable with moderate leverage and robust ROE. However, the cash flow analysis reveals concerns, with zero operating and free cash flow in the latest period, posing a potential risk that needs to be addressed for ongoing financial health.
Income Statement
85
Very Positive
Modern Dental Group has demonstrated a strong income statement performance with a consistent increase in total revenue over recent years. The company reported a gross profit margin of approximately 53.5% for the most recent period, and the net profit margin stands at around 12.1%. Both EBIT and EBITDA margins are solid at 15.9% and 19.8%, respectively. The revenue growth rate from 2023 to 2024 was about 6.06%, indicating a positive growth trajectory. Overall, the income statement reflects strong profitability and growth, though there is room for improvement in EBIT consistency.
Balance Sheet
78
Positive
The balance sheet of Modern Dental Group shows a stable financial position with a debt-to-equity ratio of approximately 0.34, indicating moderate leverage. The return on equity (ROE) for the latest period is about 15.0%, which is robust and demonstrates effective management of equity. The equity ratio is a strong 66.7%, highlighting a solid equity base relative to assets. While the company's leverage is under control, continuous monitoring is advised to maintain this stability.
Cash Flow
72
Positive
The cash flow analysis for Modern Dental Group reveals some challenges, particularly with the reporting of operating cash flow and free cash flow being zero for the most recent period. Historically, the company has shown positive free cash flow growth, and the operating cash flow to net income ratio was healthy in previous years. However, the lack of cash flow data for the latest period raises concerns about cash management, which needs addressing to ensure liquidity and operational efficiency.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
3.36B3.17B2.83B2.96B2.19B
Gross Profit
1.80B1.70B1.38B1.55B1.09B
EBIT
536.97M538.69M306.09M493.87M282.76M
EBITDA
719.12M696.64M464.09M627.01M295.21M
Net Income Common Stockholders
408.00M404.10M220.46M360.82M107.76M
Balance SheetCash, Cash Equivalents and Short-Term Investments
816.83M697.69M447.72M638.00M702.65M
Total Assets
4.07B3.95B3.54B3.66B3.67B
Total Debt
924.22M852.20M788.19M833.09M1.03B
Net Debt
107.39M154.51M343.81M199.93M322.49M
Total Liabilities
1.35B1.31B1.21B1.30B1.41B
Stockholders Equity
2.72B2.63B2.32B2.35B2.25B
Cash FlowFree Cash Flow
367.69M416.04M53.36M369.27M303.87M
Operating Cash Flow
521.19M575.76M238.72M510.72M376.32M
Investing Cash Flow
-145.47M-154.96M-227.55M-140.83M-47.32M
Financing Cash Flow
-227.70M-173.64M-184.09M-439.50M-32.95M

Modern Dental Group Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price4.26
Price Trends
50DMA
4.02
Positive
100DMA
3.96
Positive
200DMA
3.86
Positive
Market Momentum
MACD
0.06
Negative
RSI
69.09
Neutral
STOCH
91.28
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3600, the sentiment is Positive. The current price of 4.26 is above the 20-day moving average (MA) of 4.04, above the 50-day MA of 4.02, and above the 200-day MA of 3.86, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 69.09 is Neutral, neither overbought nor oversold. The STOCH value of 91.28 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3600.

Modern Dental Group Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (54)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$27.90B12.278.95%4.36%-3.09%0.67%
75
Outperform
HK$1.34B4.156.05%13.36%
74
Outperform
HK$4.00B9.8715.04%4.32%6.05%1.32%
69
Neutral
HK$303.80M4.3312.35%7.31%11.56%20.29%
65
Neutral
$69.65B15.086.22%1.71%-2.82%11.93%
54
Neutral
$5.41B3.27-45.10%3.29%16.81%0.02%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:3600
Modern Dental Group Limited
4.26
0.05
1.26%
HK:1612
Vincent Medical Holdings Limited
0.46
0.07
17.95%
HK:1066
Shandong Weigao Group Medical Polymer Co
6.06
1.81
42.52%
HK:2196
Shanghai Fosun Pharmaceutical (Group) Co
16.96
4.10
31.89%
HK:1431
YuanShengTai Dairy Farm
0.28
0.18
180.00%

Modern Dental Group Limited Corporate Events

Modern Dental Group Sees Revenue Growth Amid Strategic Expansion
May 29, 2025

Modern Dental Group Limited reported a 5.3% increase in revenue for the first quarter of 2025, driven by strategic acquisitions and digital transformation efforts. Despite challenges in certain markets, the company has successfully leveraged global digitalization trends to enhance its competitiveness and market share, particularly through the acquisition of Hexa Ceram and a focus on mid- to high-value customers.

The most recent analyst rating on (HK:3600) stock is a Buy with a HK$6.50 price target. To see the full list of analyst forecasts on Modern Dental Group Limited stock, see the HK:3600 Stock Forecast page.

Modern Dental Group’s AGM Approves Key Resolutions
May 29, 2025

Modern Dental Group Limited held its annual general meeting on May 29, 2025, where all proposed resolutions were approved by shareholders. Key resolutions included the approval of the audited financial statements for 2024, the declaration of a final dividend, the re-election of directors, and the re-appointment of Ernst & Young as auditors. The meeting also granted the board general mandates to buy back shares and issue additional shares, reflecting shareholder confidence in the company’s strategic direction.

The most recent analyst rating on (HK:3600) stock is a Buy with a HK$6.50 price target. To see the full list of analyst forecasts on Modern Dental Group Limited stock, see the HK:3600 Stock Forecast page.

Modern Dental Group Strengthens Governance with New Appointment
May 29, 2025

Modern Dental Group Limited has announced the appointment of Ms. Chan Yik Yu as a member of its nomination committee, effective from May 29, 2025. This strategic appointment is expected to enhance the company’s governance structure, potentially impacting its operational efficiency and stakeholder confidence.

The most recent analyst rating on (HK:3600) stock is a Buy with a HK$6.50 price target. To see the full list of analyst forecasts on Modern Dental Group Limited stock, see the HK:3600 Stock Forecast page.

Modern Dental Group Limited Announces Board Composition
May 29, 2025

Modern Dental Group Limited has announced the composition of its board of directors and the roles and functions of each member. This announcement highlights the company’s commitment to strong corporate governance and strategic leadership, which may impact its operational efficiency and market positioning positively.

The most recent analyst rating on (HK:3600) stock is a Buy with a HK$6.50 price target. To see the full list of analyst forecasts on Modern Dental Group Limited stock, see the HK:3600 Stock Forecast page.

Modern Dental Group Updates Nomination Committee Terms
May 29, 2025

Modern Dental Group Limited has updated the terms of reference for its Nomination Committee, initially adopted in 2015 and previously updated in 2018. The committee is tasked with ensuring a fair and transparent process for board appointments, identifying suitable candidates, and making recommendations to the board and shareholders. This update underscores the company’s commitment to robust governance practices, potentially enhancing its industry positioning and stakeholder trust.

The most recent analyst rating on (HK:3600) stock is a Buy with a HK$6.50 price target. To see the full list of analyst forecasts on Modern Dental Group Limited stock, see the HK:3600 Stock Forecast page.

Modern Dental Group Limited Announces Annual General Meeting with Key Resolutions
Apr 24, 2025

Modern Dental Group Limited has announced its upcoming annual general meeting scheduled for May 29, 2025, where key resolutions will be discussed. These include the approval of financial statements, declaration of a final dividend, re-election of directors, re-appointment of auditors, and granting mandates for share buybacks and issuance. These resolutions, if passed, will allow the company to manage its capital structure effectively and ensure continued governance and operational efficiency.

Modern Dental Group Strengthens Market Position with Strategic Acquisition and Revenue Growth
Mar 27, 2025

Modern Dental Group Limited reported an increase in revenue and net profit for the year ended 31 December 2024, despite challenging macroeconomic conditions. The company’s strategic acquisition of Thailand’s largest dental laboratory, Hexa Ceram, and its focus on digital transformation have strengthened its market position, allowing it to outperform competitors. With production facilities in the US and Southeast Asia, the company is well-positioned to mitigate tariff-related risks and capitalize on market opportunities.

Modern Dental Group Announces Final Dividend for 2024
Mar 27, 2025

Modern Dental Group Limited has announced a final ordinary cash dividend of HKD 0.092 per share for the financial year ending December 31, 2024. The dividend will be paid on June 30, 2025, following shareholder approval on May 29, 2025. This announcement reflects the company’s financial performance and commitment to returning value to its shareholders.

Modern Dental Group Announces Leadership Transition
Mar 27, 2025

Modern Dental Group Limited announced the re-designation of Mr. Chan Kwun Fung from an executive to a non-executive director, effective April 1, 2025. This transition is part of a leadership change aimed at fostering a new generation of leadership, with Mr. Chan continuing to serve as a mentor and advisor to the board, ensuring continuity in strategic planning and policy development.

Modern Dental Group Announces Board Restructuring
Mar 27, 2025

Modern Dental Group Limited has announced an updated list of its board of directors, effective from April 1, 2025. This restructuring includes key executive roles and the composition of three board committees: Audit, Nomination, and Remuneration. The changes are likely to impact the company’s governance and strategic direction, potentially influencing its market position and stakeholder relations.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.